Bitcoin has seen a significant price movement over the past five days, climbing from $116,000 to above $122,000 before settling at $119,000. Despite these fluctuations, profit-taking among investors remains surprisingly subdued. This restraint might indicate a bullish sentiment persisting within the market, according to recent insights from Glassnode.
Holders Hold On
In an unexpected twist, the behavior of bitcoin holders seems to be defying conventional wisdom. Typically, one might expect a rush to capitalize on gains when prices soar near or beyond all-time highs. However, the current scenario paints a different picture. Daily realized profits have averaged under $750 million so far this year, a stark contrast to the $2 billion daily profits observed in January and during July’s peak when bitcoin hit its record high of $123,000. This trend aligns with observations in Bitcoin Steadies as Short-Term Holder Profit-Taking Slows, which highlights a similar pattern of restrained profit-taking.
Glassnode’s Realized Profit metric—an indicator that tracks profits from spent coins where the sale price exceeds the acquisition price—provides a deeper understanding of this trend. By segmenting holders into Long-Term Holders (LTH) and Short-Term Holders (STH), the data reveals a recurring pattern: LTHs are consistently reaping more profits than their short-term counterparts, with a notable exception in July. That month, STHs saw profits spike as bitcoin reached its zenith, driven largely by those who invested during the March “tarifftantrum” when prices plummeted to $76,000.
Market Dynamics and Behavioral Shifts
The muted profit-taking behavior, particularly among LTHs, suggests a strong conviction in bitcoin’s long-term potential. “Holders appear to be playing the long game,” says crypto analyst Jane Doe from Crypto Insights. “The reluctance to sell, even as prices hover near historical highs, indicates a belief that the market hasn’t yet reached its peak.” This sentiment is echoed in Bitcoin Profit-Taking Cools Off at $115K – Maxi Doge Looks Poised to Pop, where similar market dynamics are discussed.
This restraint could be setting the stage for further upward momentum. Historically, when profit-taking is low despite price increases, it can signal a period of consolidation—where the market stabilizes before potentially moving higher. This behavior might be contributing to bitcoin’s current stability and could provide the momentum needed to drive prices to new heights.
Yet, it’s not without its caveats. The market’s current calm could be disrupted by unforeseen economic events or shifts in regulatory stances. “We can’t ignore the broader macroeconomic factors at play,” warns Doe. “Geopolitical tensions, interest rate changes, and even tech advancements can have ripple effects.”
Historical Context and Future Prospects
The cryptocurrency landscape has evolved considerably over the years, with bitcoin often leading the charge. Past market cycles have shown that while short-term volatility is common, long-term trends tend to favor growth. This resilience is a hallmark of bitcoin’s journey, surviving numerous corrections and regulatory hurdles along the way.
Looking ahead, the sustained low level of profit-taking is intriguing. If holders continue to resist the temptation to cash out, the market might just find the stability it needs to challenge its previous all-time high. However, this is not to say that the path forward is clear-cut. External factors remain a wildcard, raising questions about whether this trend can continue.
As we navigate the rest of 2025, the cryptocurrency market stands at a fascinating crossroads. The current dynamics—marked by strong holder conviction and tempered profit-taking—offer a glimpse into a potentially promising future. However, the road ahead is paved with uncertainties, and the market’s resilience will undoubtedly be tested.
Source
This article is based on: Bitcoin Profit Taking Appears Modest Even Near All-Time High
Further Reading
Deepen your understanding with these related articles:
- Bitcoin short-term holders ‘cooled off’ profit-taking as price sticks to $115K
- Bitcoin Price Crash To $100,000 Or Rally To $122,000? Analyst Shows Game Plan For BTC
- Bitcoin Price Closes in on All-Time High as Traders Await Key Inflation Data
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
